The Pulse (11-06-13)
Nov. 6, 2013 ● Volume 02, Issue 44
The Pulse Archive
Credit Union News
Legislative leadership, compliance assistance & networking keys to MnCUN value
Minnesota Credit Union Network members are speaking out about the value of affiliation as 2013 winds to a close. As an organization designed to serve and support the needs and interests of credit unions around the state, MnCUN works hard on behalf of its members year-round.
|"I belong to the Network because they keep me abreast of legislative issues at both the state and federal level." – Kelly McDonough, President/CEO
of First Alliance Credit Union
The Network is committed to providing a valuable option for membership at an affordable price, while working to ensure the success, growth and vitality of Minnesota credit unions. We do this by creating a positive public environment through leadership, political advocacy, education, awareness and regulatory assistance.
First Alliance Credit Union President/CEO Kelly McDonough is a strong proponent of the credit union movement, with a career in the industry that spans nearly 30 years.
"I belong to the Network because they keep me abreast of legislative issues at both the state and federal level, and they are in a position to influence elected officials about issues pertaining to credit unions,” McDonough said.
"I also appreciate the Network’s timely information on pending compliance issues,” she added. "They are always available to answer our questions as we are implementing new rules and regulations. They are subject matter experts.”
McDonough said she also values the networking opportunities offered by MnCUN, which "create an invaluable support structure” for credit union professionals.
Minnesota credit unions experience continued growth in third quarter
Minnesota credit unions experienced growth in many leading indicators in the third quarter, according to preliminary statistics compiled by the Minnesota Credit Union Network. This growth is a trend that has continued in the years since the financial crisis.
Minnesota credit union lending was a significant growth area in the third quarter. In the past 12 months, credit unions nationwide have experienced growth in lending that was the fastest since before the Great Recession, according to the Credit Union National Association's Credit Union Monthly Estimates for September, released on Nov. 1.
Also, in Minnesota, credit union loans outpaced deposit and asset growth, indicating that credit unions continue to support and strengthen communities while creating a positive impact on their own income statements. Loan growth was well-balanced between real estate and non-real estate loans.
"As credit unions lend more to Minnesota consumers, it shows that consumer confidence is increasing as well,” said Mark Cummins, Minnesota Credit Union Network President & CEO. "We’re glad to see credit unions contributing to the overall growth of the state’s economy.”
Below is a synopsis of key indicators from the third quarter preliminary statistics:
The latest available results, through Q2 2013, show that Minnesota credit union membership grew by 12,000 to reach 1.59 million – a 0.8 percent growth rate. This pace is slower than the 1.3 percent growth rate reported in the second quarter of 2012, but indicates that consumers continue to choose credit unions as their financial partner.
Minnesota credit union assets grew by just over seven-tenths of a percent between Q2 2013 and Q3 2013, with 5 percent growth between Q3 2012 and Q3 2013.
Deposits at Minnesota credit unions increased 0.4 percent in Q3 2013 from Q2 2013, with a 5.35 percent increase year-over-year from Q3 2012 to Q3 2013.
- Total loans
Loan balances increased 2.69 percent in Q3 2013, building on the 2.71 percent increase realized in the second quarter. Year-over-year loan growth was 5.81 percent between Q3 2012 and Q3 2013.
- Net Income
Minnesota credit unions are rated as "well-capitalized” by the National Credit Union Administration (NCUA), with a net worth of 9.98 percent. The NCUA considers a credit union as well-capitalized if its net worth is above 7 percent.
Sign up today for professional development & leadership options with The Crew!
Calling all credit union professionals 35 and younger! Mark it on your calendar to join the Minnesota Credit Union Network’s Crew group on Thursday, Nov. 14 for lunch and a three-part education & networking session! This Crew Professional Development event, hosted at Dave and Busters in Maple Grove, will feature:
- Credit union leaders discussing boards of directors and their roles;
- MnCUN staff providing an overview of the association, member benefits, and engagement opportunities;
- Networking and team-building activities focused on leadership and problem-solving.
The first part of this exclusive session, titled "What’s Your Function? Demystifying Boards & the Network,” will provide answers to questions such as: What is the proper structure of a credit union board? How should boards interact with management and staff? What’s a board meeting like? These questions and more will be covered by guest speakers who will share their personal experiences with attendees.
The second portion of the event will be dedicated to deepening involvement and engagement in the credit union industry. Learn more about the Minnesota Credit Union Network, what it does and how to use all of the Network’s offerings. The event will conclude with a high-energy team-building activity, including challenges and prizes!
Sign up for this unique event now! You won’t want to miss the preview of Crew activities in 2014 or the chance to vie for the title of Crew Ambassador. The Crew Ambassador program offers free registration to all Crew events, exclusive development experience with credit union and Network leadership, the opportunity to attend CUNA’s Governmental Affairs conference, and more!
For more details and to register today, please visit the Event Calendar section of the Network website. With questions, contact Crew liaison Lindsey Evans by email or call (651) 288-5535.
Minnesota CU Foundation to participate in Nov. 14 Give to the Max Day
Next week, credit unions can participate in an online giving holiday to further the efforts of the Minnesota Credit Union Foundation. The Foundation has joined forces with GiveMN.org to participate in Give to the Max Day on Thursday, Nov. 14, the world’s largest online fundraising event.
The Foundation supports the efforts of credit unions around the state by providing financial education grants that positively impact credit union members and communities. The Foundation also funds professional development grants for credit union professionals and volunteers to continue their education and sustain the credit union movement.
"With our refined focus and strong commitment to Minnesota, the Foundation continues to generate increased awareness of credit unions in the financial literacy realm,” said Foundation Chair Pat Brekken. "Our participation in Give to the Max Day provides a unique venue for credit unions to support our efforts and uses modern technology to make giving easy in today’s mobile world.”
There is a $10 minimum on Give to the Max Day contributions, which will appear as "Razoo Foundation” on credit card receipts. All donors receive an IRS receipt, and all gifts are 100 percent tax deductible.
Busy on Nov. 14? Traveling? Or just want to get this item off your to-do list? You can schedule your Give to the Max Day contributions ahead of time to transact on Nov. 14! Follow this link to contribute now.
Give to the Max Day was created in 2009 to increase giving to nonprofit organizations across the state and move more giving online. In 2012, more than $16 million was contributed by 53,000 individual donors to 4,300 organizations.
Founded in 1969, the Minnesota Credit Union Foundation is an organization dedicated to providing the resources for credit unions and communities to prosper and thrive. The MnCUF is a tax-exempt 501(c)(3) organization.
MnCUN holds education session at Minn. Department of Commerce
Minnesota Credit Union Network (MnCUN) President & CEO Mark D. Cummins and Director of Business Development Vickie Ganrude held an education session with a group of Minnesota Department of Commerce credit union examiners on Oct. 24.
The presentation included an overview of MnCUN’s mission, along with an overview of the consulting services provided by Ganrude and MnCUN Compliance & Audit Consultant Marcia Armstrong Lewis.
"From a compliance standpoint, receiving a document of resolution (DOR) is never a pleasant thing for a credit union,” said Ganrude. "Our consulting services can help guide credit unions through the challenging process of addressing the issues raised in the DOR.”
The group also discussed topics that affect credit unions, including the scope of industry regulations and the potential impact of credit union taxation.
"This was a good opportunity to meet with the state regulators who work directly with our credit unions on a regular basis,” said Cummins. "It’s important for us to keep the lines of communication open so we can best serve our credit unions.”
New videos help explain rules on mortgage lending, remittance transfers
The National Credit Union Administration recently released a three-part Consumer Protection Update video series and posted supporting content on its consumer website, MyCreditUnion.gov, to explain the new rules on international remittances and mortgage lending. The rules are required by the Dodd-Frank Wall Street Reform and Consumer Protection Act.
"One of the reasons why we created NCUA’s Office of Consumer Protection was to educate credit unions about consumer protection issues,” NCUA Board Chairman Debbie Matz said. "These videos and webpages provide useful information about complying with the new mortgage lending and remittance transfer rules. Anyone at a credit union with responsibility for underwriting or servicing mortgages or making international wire transfers would benefit from watching these videos and reviewing the related material on our the consumer protection website.”
In the videos, Office of Consumer Protection Director Gail Laster outlines NCUA’s plan for implementing the new rules and explains how these new regulations will better protect consumers. Additional information, such as compliance resources for credit unions, is also available on the NCUA’s website.
The three videos are the first in a new Consumer Protection Update series. Produced by NCUA’s Office of Consumer Protection, the series is designed to inform credit unions and their members about new regulations and consumer protection rights. Future releases are planned for 2014.
Credit Unions in the News ...
Follow the links on the stories below to read more about the outstanding programs, new initiatives and well-deserved recognition received by your peers recently. Got news of your own? Send stories, pitches, press releases and published articles to MnCUN Director of Communications Connie Kuhn.
- TopLine Federal Credit Union leads a personal money management lesson during the Minnesota Student Leadership Summit … more
- In other TopLine Federal Credit Union news, the credit union recently hired Patrick Rushenberg as Senior Vice President of Lending and Chief Lending Officer … more
First drafts of federal tax reform legislation expected soon
D.C. publication names CUNA's Bill Cheney a 2013 top lobbyist
Federal Reserve provides guidance for troubled debt restructurings
Upcoming effective dates
NCUA Letters to Credit Unions
Letter No. 13-CU-11: Electronic Filing of Call Reports & Extended 2014 Filing Dates
Letter No. 13-CU-10: Liquidity and Contingency Funding Plan Guidance